Bergesen Profits Surge 89%

Norwegian shipping firm Bergesen reported that a solid tanker market has led to an 89 percent surge in nine-month operating profits, a trend that will help to boost earnings for the rest of 2000. The company, which owns and operates shipping vessels, posted operating profits in the nine months to September 30 of $110.5 million, jumping from $58.6 million in the same period last year. "Bergesen's operating profit is expected to be higher in the fourth quarter than in the third," the company said in its quarterly report. For the third quarter alone, it posted an operating profit of $50.5 million. "The tanker market is expected to remain buoyant despite a high number of newbuilds and a possible drop in the rate of growth in the demand for oil in the first half of next year," Bergesen said. Tanker operations saw profits more than double in the nine-month period to $60.9 million crowns from $28.3 million. Bergesen said the average time charter income in the period was $25,500 per day, compared with $19,900.